Our goal is to give you the tools and confidence you need to improve your finances. Although we receive compensation from our partner lenders, whom we will always identify, all opinions are our own. Credible Operations, Inc. NMLS # 1681276, is referred to here as "Credible."
Refinancing your student loans is the process of paying off your old loans with a new one — leaving you with just one loan and payment to manage. Through refinancing, you might be able to lower your interest rate to save money on your loan.
However, you might wonder whether there’s any cost to refinance your student loans.
Have federal student loans? Make sure you understand impacts on key benefits before refinancing.
Here’s what you need to know about the cost to refinance student loans:
How much does it cost to refinance student loans?
Thankfully, lenders don’t charge you any upfront fees to refinance your student loans. In fact, not refinancing might cost you more than sticking with your original loan if you could get a lower interest rate through a refinance — especially if you currently have a high student loan interest rate.
Tip: You could also opt for a longer repayment term through refinancing to
lower your monthly student loan payments. Just keep in mind that choosing a longer term means you’ll pay more in interest over time.
If you decide to refinance your student loans, be sure to compare as many lenders as possible to find the right loan for you. Credible makes this easy: You can compare your prequalified rates from our partner lenders in the table below in two minutes — for free.
Lender | Fixed rates from (APR) | Variable rates from (APR) | Loan terms (years) | Loan amounts | Discounts |
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
4.4%+
|
4.54%+
| 5, 7, 10, 15, 20 | $10,000 up to $250,000
(depending on degree) | Autopay |
- Fixed APR:
4.4%+
- Variable APR:
4.54%+
- Min. credit score:
690
- Loan amount:
$10,000 to $400,000
- Loan terms (years):
5, 7, 10, 15, 20
- Repayment options:
Military deferment, forbearance
- Fees:
Late fee
- Discounts:
Autopay
- Eligibility:
Must have a credit score of at least 720, a minimum income of $60,000, and must be a resident of Texas
- Customer service:
Email, phone
- Soft credit check:
Does not disclose
- Cosigner release:
No
- Loan servicer:
Firstmark Services
- Max. Undergraduate Loan Balance:
$100,000 - $149,000
- Max. Graduate Loan Balance:
$200,000 - $400,000
- Offers Parent PLUS Refinancing:
Does not disclose
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
5.39%+1
|
5.39%+1
| 5, 7, 10, 15, 20 | $10,000 to $500,000
(depending on degree and loan type) | Autopay, loyalty |
- Fixed APR:
5.39%+1
- Variable APR:
5.39%+1
- Min. credit score:
Does not disclose
- Loan amount:
$10,000 to $750,000
- Loan terms (years):
5, 7, 10, 15, 20
- Repayment options:
Immediate repayment, academic deferment, military deferment, forbearance, loans discharged upon death or disability
- Fees:
Late fee
- Discounts:
Autopay, loyalty
- Eligibility:
Must be a U.S. citizen or permanent resident and have at least $10,000 in student loans
- Customer service:
Email, phone, chat
- Soft credit check:
Yes
- Cosigner release:
After 24 to 36 months
- Loan servicer:
Firstmark Services
- Max. Undergraduate Loan Balance:
$100,000 to $149,000
- Max. Graduate Loan Balance:
Less than $150,000
- Offers Parent PLUS Refinancing:
Yes
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
5.24%+2
|
5.24%+2
| 5, 7, 10, 12, 15, 20 | $5,000 to $300,000
(depending on degree type) | Autopay |
- Fixed APR:
5.24%+2
- Variable APR:
5.24%+2
- Min. credit score:
Does not disclose
- Loan amount:
$5,000 to $300,000
- Loan terms (years):
5, 7, 10, 12, 15
- Repayment options:
Military deferment, forbearance, loans discharged upon death or disability
- Fees:
Late fee
- Discounts:
Autopay
- Eligibility:
All states except for ME
- Customer service:
Email, phone, chat
- Soft credit check:
Yes
- Cosigner release:
After 24 to 36 months
- Loan servicer:
College Ave Servicing LLC
- Max. Undergraduate Loan Balance:
$100,000 to $149,000
- Max. Graduate Loan Balance:
Less than $300,000
- Offers Parent PLUS Refinancing:
Yes
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
7.41%+5
|
7.29%+5
| 10, 15, 20 | $7,500 to $200,000 | Autopay |
- Fixed APR:
7.41%+5
- Variable APR:
7.29%+5
- Min. credit score:
700
- Loan amount:
$7,500 to $200,000
- Loan terms (years):
5, 10, 15, 20
- Repayment options:
Immediate repayment, academic deferment, forbearance, loans discharged upon death or disability
- Fees:
None
- Discounts:
Autopay
- Eligibility:
Must be a U.S. citizen or permanent resident and submit two personal references
- Customer service:
Email, phone
- Soft credit check:
Yes
- Cosigner release:
After 36 months
- Loan servicer:
Granite State Management & Resources (GSM&R)
- Max. Undergraduate Loan Balance:
$150,000 to $249,000
- Max. Graduate Loan Balance:
$150,000 to $199,000
- Offers Parent PLUS Refinancing :
Yes
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
4.83%+3
|
3.99%+3
| 5, 7, 10, 12, 15, 20 | $10,000 to $250,000 | None |
- Fixed APR:
4.83%+3
- Variable APR:
3.99%+3
- Min. credit score:
680
- Loan amount:
$10,000 to $250,000
- Loan terms (years):
5, 7, 10, 12, 15, 20
- Repayment options:
Forbearance
- Fees:
None
- Discounts:
None
- Eligibility:
Must be a U.S. citizen or permanent resident, have at least $15,000 in student loan debt, and have a bachelor’s degree or higher from an approved school
- Customer service:
Email, phone
- Soft credit check:
Yes
- Cosigner release:
No
- Loan servicer:
Mohela
- Max. Undergraduate Loan Balance:
$250,000
- Max. Graduate Loan Balance:
$250,000
- Offers Parent PLUS Refinancing:
Yes
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
5.61%+4
|
6.61%+4
| 5, 10, 15, 20 | $5,000 - $250,000 | Autopay |
- Fixed APR:
5.61%+4
- Variable APR:
6.61%+4
- Min. credit score:
670
- Loan amount:
$5,000 to $250,000
- Loan terms (years):
5, 10, 15, 20
- Repayment options:
Academic deferment, military deferment, forbearance
- Fees:
Late fee
- Discounts:
Autopay
- Eligibility:
Must be U.S. citizen or permanent resident
- Customer service:
Email, phone, chat
- Soft credit check:
Yes
- Cosigner release:
Yes
- Max undergraduate loan balance:
$250,000
- Max graduate loan balance:
$250,000
- Offers Parent PLUS refinancing:
Yes
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
4.49%+
|
4.38%+
| 5, 7, 10, 15 | $5,000 - $300,000 | Autopay |
- Fixed APR:
4.49%+
- Variable APR:
4.38%+
- Min. credit score:
700
- Loan amount:
$5,000 to $300,000
- Loan terms (years):
5, 7, 10, 15
- Max. undergraduate Loan Balance:
$125,000
- Time to Fund:
10 to 30 days
- Repayment options:
Immediate repayment, forbearance
- Fees:
Late fee
- Discounts:
Autopay
- Eligibility:
Must be a U.S. citizen or permanent resident and have already graduated with at least an associate degree from an eligible institution
- Customer service:
Email, phone
- Soft credit check:
Yes
- Cosigner release:
After 12 months
- Loan servicer:
LendKey Technologies Inc.
- Max. graduate Loan Balance:
$175,000
- Credible Review:
LendKey Student Loans review
- Offers Parent PLUS Refinancing:
No
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
5.1%+
| N/A | 7, 10, 15 | $10,000 up to the total amount of qualified education debt | None |
- Fixed APR:
5.1%+
- Variable APR:
N/A
- Min. credit score:
670
- Loan amount:
$10,000 up to the total amount
- Loan terms (years):
7, 10, 15
- Repayment options:
Military deferment, loans discharged upon death or disability
- Fees:
None
- Discounts:
None
- Eligibility:
Must be a U.S. citizen or permanent resident and have at least $10,000 in student loans
- Customer service:
Email, phone
- Soft credit check:
Yes
- Cosigner release:
No
- Loan servicer:
AES
- Max. Undergraduate Loan Balance:
No maximum
- Max. Gradaute Loan Balance:
No maximum
- Offers Parent PLUS Refinancing:
Yes
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
5.49%+
| N/A | 5, 8, 12, 15 | $7,500 to $300,000 | None |
- Fixed APR:
5.49%+
- Variable APR:
N/A
- Min. credit score:
670
- Loan amount:
$7,500 to $300,000
- Loan terms (years):
5, 8, 12, 15
- Repayment options:
Does not disclose
- Fees:
None
- Discounts:
None
- Eligibility:
Must be a U.S. citizen and have and at least $7,500 in student loans
- Customer service:
Email, phone, chat
- Soft credit check:
Yes
- Cosigner release:
After 12 months
- Loan servicer:
PenFed
- Max. Undergraduate Loan Balance:
$300,000
- Max. Graduate Loan Balance:
$300,000
- Offers Parent PLUS Refinancing:
Yes
|
Credible Rating
Credible lender ratings are evaluated by our editorial team with the help of our loan operations team. The rating criteria for lenders encompass 78 data points spanning interest rates, loan terms, eligibility requirement transparency, repayment options, fees, discounts, customer service, cosigner options, and more. Read our full methodology.
|
5.29%+
| N/A | 5, 10, 15 | $7,500 up to $250,000
(depending on highest degree earned) | Autopay |
- Fixed APR:
5.29%+
- Variable APR:
N/A
- Min. credit score:
680
- Loan amount:
$7,500 to $250,000
- Loan terms (years):
5, 10, 15
- Repayment options:
Academic deferment, military deferment, forbearance, loans discharged upon death or disability
- Fees:
None
- Discounts:
Autopay
- Eligibility:
Available in all 50 states; must also have at least $7,500 in student loans and a minimum income of $40,000
- Customer service:
Email, phone
- Soft credit check:
Does not disclose
- Cosigner release:
No
- Loan servicer:
Rhode Island Student Loan Authority
- Max. Undergraduate Loan Balance:
$150,000 - $249,000
- Max. Graduate Loan Balance:
$200,000 - $249,000
- Offers Parent PLUS Refinancing:
Yes
|
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All APRs reflect autopay and loyalty discounts where available | 1Citizens Disclosures | 2College Ave Disclosures | 5EDvestinU Disclosures | 3 ELFI Disclosures | 4INvestEd Disclosures | 7ISL Education Lending Disclosures |
Learn More: How to Consolidate Your Student Loans
Make sure to pay on time to avoid other penalties
While it doesn’t cost anything to refinance student loans, student loan refinance companies might charge fees in other circumstances. For example, you could incur fees for late or returned payments.
The good news is that you can avoid these extra costs by paying on time and by making sure you have the necessary funds before the payment goes through.
Tip: Consider signing up for autopay so you won’t miss any future payments. Many lenders offer rate discounts to borrowers who opt for automatic payments — so you can avoid racking up pesky late fees while also saving money on interest.
Check Out: When Student Loan Refi Is a Good Idea and When to Reconsider
How much will refinancing save?
Depending on your credit, you might qualify for a lower interest rate through refinancing — which can save you money on interest and even help you pay off your student loans faster.
For example: Borrowers who used Credible to refinance their student loans from Nov. 1, 2019, to Dec. 1, 2020, were
projected to save an average of $16,943
1 over the life of their loan. These borrowers also opted to shorten their repayment terms by an average of 41 months.
If you’re wondering how competitive your loan is, the loan score tool below can help. Just enter your APR, credit score, monthly payment, and remaining balance (estimates are fine) to see how your loan stacks up.
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Learn More: When to Refinance Student Loans
How to refinance student loans to a lower interest rate
If you’ve decided to refinance your student loans, follow these four steps:
- Check your credit. When you apply for refinancing, lenders will review your credit to determine your creditworthiness as well as what interest rates you qualify for — so it’s a good idea to check your credit before applying to see where you stand. You can use a site like AnnualCreditReport.com to review your credit reports for free. If you find any errors, dispute them with the appropriate credit bureaus to potentially boost your credit score.
- Compare lenders and pick a loan option. Be sure to shop around and compare as many lenders as possible to find a loan that best suits your needs. Consider not only interest rates but also repayment terms and any fees charged by the lender. After researching lenders, choose the loan option you like best.
- Complete the application. Once you’ve picked a lender, you’ll need to fill out a full application and submit any required documentation, such as tax returns or pay stubs.
- Manage your payments. If you’re approved, be sure to continue making payments on your old loans while the refinance is processed. Afterward, consider signing up for autopay to avoid missing any payments on your new loan.
Keep in mind: While you can refinance both federal and private student loans,
refinancing federal student loans will cost you federal benefits and protections. These include access to student loan forgiveness programs as well as
federal student loan repayment options. You’ll also no longer be eligible for the suspension of federal payments and interest accrual under the
CARES Act due to the COVID-19 pandemic.
Check Out: Private Student Loan Consolidation
What credit score do I need to refinance student loans?
To get approved for refinancing, you’ll generally need good to excellent credit — a good credit score is usually considered to be 700 or higher.
Your credit score also affects the interest rates you can get. In general, the better your credit, the lower your interest rate — and the more money you’ll likely save over the life of your loan.
For example, here’s how credit scores affected the average student loan refinancing rates received by borrowers who used Credible to apply for refinancing in May 2021:
- Good credit: Borrowers with credit scores from 720 to 779 received an average fixed rate of 3.82% on a 10-year loan.
- Fair credit: Borrowers with credit scores from 640 to 679 got an average fixed rate of 5.15% on a 10-year loan.
If the borrowers with good credit refinanced $20,000, they’d pay $4,094 in interest over a 10-year term. The borrowers with fair credit, on the other hand, would end up paying $5,632 in total interest — $1,538 more in comparison.
Tip: If you have less-than-perfect credit, consider applying for refinancing with a cosigner. Even if you don’t need a cosigner to get approved, having one could get you a lower interest rate than you’d get on your own.
Learn More: 3 Ways to Decide Which Student Loan to Pay off First
Does refinancing hurt your credit?
When you apply for refinancing, the lender will perform a hard credit check to determine your creditworthiness. This can cause a slight dip in your credit score — however, this is usually only temporary, and your score will likely bounce back within a few months.
Tip: Making on-time payments on your new loan could actually have a positive
impact on your credit score — which could outweigh any initially negative effect.
If you decide to refinance your student loans, remember to consider as many lenders as you can to find the right loan for you. This is easy with Credible — you can compare your prequalified rates in two minutes without affecting your credit.
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Keep Reading: How to Pay off Student Loans in 5 Years
1$16,943 savings disclaimer: Savings estimates assume the analyzed consumers will make full, on-time monthly payments for the full life of the loan according to the terms of their promissory notes. Actual savings may be higher or lower. Average $16,943 savings calculation based on (1) information the users shared with Credible about their original loans (such as loan balance, repayment term, and rate) and created an account between Nov.1, 2019 and Dec. 1, 2020; and (2) actual loan terms for those same users who refinanced into a student loan with a shorter repayment term than the weighted average of their previous loan’s(‘) remaining months to full amortization, calculated using information the users shared with Credible . This calculation excludes borrowers who refinanced to a loan of a similar or longer duration or who reported loan terms that deviate from normal user experiences, including: (i) any loan term with less than one (1) year or more than twenty-five (25) years remaining before refinancing; (ii) monthly loan payments greater than $5,000 per month before refinancing; and (iii) any existing loan amount (before refinancing) that deviates more than five (5) percent from the loan amount disbursed upon refinancing. Our calculations do not take into account variable factors such as the borrower’s potential eligibility for loan forgiveness, variable interest rates, deferments, late payments, underpayments, missed payments, or pre-payments. Please note that your actual savings may vary depending on interest rate, balance, loan terms, credit score, and other factors.
About the author
Taylor Medine
Taylor Medine is a Credible authority on personal finance. Her work has been featured on Bankrate, Experian, The Balance, Business Insider, Credit Karma, and more. She’s also the author of The 60-Minute Money Plan, a self-published intro to budgeting guide for people who hate budgeting.
Read More
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